Leather Goods MarketSize and Trends

Global leather goods market was valued at US$ 2932.5 Billion in 2021 in terms of revenue, exhibiting a CAGR of 5.18% during the forecast period (2022 to 2030).

Figure 1. Global Leather Goods Market Value Share (%), By Region, 2021

Market Trends

With the increase in disposable income of individuals, the demand for luxury goods has also increased. These goods often symbolize a sense of accomplishment within individuals, giving them higher self-esteem. Europeans and North Americans are known to spend most on luxury goods, owing to higher household income. An upward thrust can be seen in this matter in the Asian region as well. Leather goods form a major part of luxury goods. Luxury leather products include exclusive handbags, accessories, and shoes, which appeal to affluent individuals. In the case of the personal luxury segment, leather goods are the fastest-growing segment that attracts extravagant customers.

The growing government support for the leather industry is further driving the market growth. For instance, in India in 2020, foreign direct investment allowed for the manufacturing of leather products through an automatic route. Between April 2000 and September 2021, the cumulative Foreign Direct Investment (FDI) equality inflow in the case of the Leather, Leather Goods, and Pickers Industry was US$ 218.69 million.

Figure 2. Global Leather Goods Market Value Share (%), By Product Type, 2021